Cboe Europe Derivatives Gets Support from Key Participants for Single Stock Options Launch

October 18, 2023 - Cboe Global Markets announced it has secured commitment from a diverse range of participants to support the launch of single stock options on Cboe Europe Derivatives (CEDX), its pan-European equity derivatives exchange.

CEDX plans to start offering equity options starting November 6, 2023 and expand its product range by end of Q1 2024, subject to regulatory approvals.

Iouri Saroukhanov, Head of European Derivatives, Cboe Europe, said: "We are delighted to have secured the support of such a strong group of participants to support the launch of single stock options on CEDX. Their support demonstrates the need for a more efficient options marketplace in Europe as envisioned by CEDX, which is designed from a pan-European point-of-view, increases competition and lowers barriers to entry for institutional and retail investors. CEDX will offer first class levels of efficiencies to options participants from a trading and clearing perspective, including margin efficiencies and domestic stock settlement on options exercise, to help grow options markets in Europe."

Milan Galik, Chief Executive Officer at Interactive Brokers, said: "We're thrilled to incorporate access to CEDX, which aligns with our dedication to offering clients an extensive range of global investment products. We applaud Cboe's roll-out of European equity derivatives and believe this move will stimulate more market activity, enriching the portfolio of investment opportunities for our clients."

Joe Nehorai, Co-Head, Global Listed Derivatives at Goldman Sachs, said: "We are delighted to expand our partnership with CEDX and support its single stock options launch, which aligns with our desire to help grow European options markets for our clients."

Conor McCann, European Head of Derivative Sales at Susquehanna International Securities Limited, said: "As a global trader of listed options, we are supportive of any initiative that helps to advance these markets, particularly in Europe where there is room to develop the market to meet the needs of the retail user. We are excited to become a liquidity provider in CEDX's equity options given the unique value proposition on offer, confidence in our ability to quote competitive prices and belief that there is genuine end-user demand for these products."

Jerome Bedouet, Head of Derivatives Distribution EMEA at Morgan Stanley, said: "We look forward to partnering with CEDX on their expansion into equity options allowing our clients the benefit of greater liquidity and more choice."

The launch will offer options on around 50 stocks from Belgian, Dutch, French, Spanish, Swedish, and Swiss companies, including the EURO STOXX® 50 Index, with more local blue-chips added by year-end.

CEDX will provide a competitively priced, advanced market for European single stock options alongside existing Cboe Europe futures contracts. Cboe operates the largest pan-European options market in the UK and futures/options markets in the Netherlands.